The Associated Press is reporting that now that the Google-Yahoo ad deal has fallen through, Yahoo CEO Jerry Yang is ready to return to the bargaining table with Microsoft—that is, if the Redmond-based software maker remains interested in buying his embattled Internet company.

"To this day, I believe the best thing for Microsoft to do is to buy Yahoo," Yang said Wednesday evening at the Web 2.0 summit in San Francisco, the report said.

That's amazing to us, given how he rebuffed Microsoft's offer over and over again. "Microsoft said it withdrew its $33 per share bid after Yang demanded $37 - a price that Yahoo's stock hasn't reached since early 2006." Currently Yahoo sits at $13.96 per share.